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In an attempt to stimulate the economy, through fiscal means, during a time of recession, a government may decide to run a large budget deficit

  1. In an attempt to stimulate the economy, through fiscal means, during a time of recession, a government may decide to run a large budget deficit (financed by issuance of government bonds). Evaluate the following statement: "By issuing bonds the government can solve the need of having to raise revenue through taxation of any form."

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